MSE News

New top easy-access savings account as rates rise

Nottingham Building Society has launched a new market-leading online easy-access savings account, paying 1.55% interest on £1,000 or more. 

Easy-access interest rates have risen generally over the past few weeks, since Goldman Sachs launched its new Marcus account in September. The account paid the highest rate we'd seen since January 2016, with the 'Marcus effect' kick-starting a series of rate rises – and it's now been nudged off the top spot by Nottingham Building Society.   

For full info on getting the best rates for your savings, see our Top Savings Accounts guide.

How do the rates stack up?

Nottingham Building Society now tops the table at 1.55% AER variable – beating Marcus, which pays 1.5% AER variable including a fixed 0.15% bonus for 12 months, though it can be opened with just £1. Next is Family Building Society, which pays 1.45% AER variable on balances over £5,000 – although you'll need to fund it by 7 December. All three accounts allow unlimited withdrawals.

It's possible to earn more, but to get a bigger return on your savings you must either be prepared to open a bank account (and meet strict criteria, as well as passing a credit check) or lock away your cash for a fixed term. You can earn 5% on up to £2,500 in a top bank account for savings, while the top one-year fix is 2.03% and can be opened with £1,000. See fixed-rate saving accounts.

How do I open the account? 

You'll need to apply for and manage the account online at Nottingham Building Society, and have at least £1,000 to save.

Interest is paid annually, and you can make as many withdrawals as you like.

It's worth noting that Nottingham Building Society's online savings accounts will soon be moved to a new brand, Beehive Money. You'll be given at least 14 days' notice of the rebrand, but Nottingham says the rate you receive and its FSCS protection won't be affected. You can find out more on the Beehive Money website

As the interest rate is variable, it could change at any time – so if you do take out an account, keep an eye on it in case the rate drops.

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